SENTIENT AND SECURITY

Nelson Evening Mail, Volume LXIV, 29 March 1930, Page 9

SENTIENT AND SECURITY

THE EMPIRE'S HANDICAP

(Contributed by tho New Zealand Wei fare League).

A doctrine lias been gradually gaining ground in both England and Nov/ Zealand namely that wages and hours of work should be based on a stated "standard of living" rather than cm the amount of production. It assumes that individuals tire entitled to that standard as a minimum, whereas the. truth is that a community can o'nly share and use what is produced py it, you cannot divorce wages from production without risking disaster. This doctrine has undoubtedly grown out of the appalling contrast between extreme riches and poverty which unfortunately exists, and the idea behind it is to arrive at a nioro equitable distribution of the wealth produced. , If standards of living were the same ail the world over it would perhaps be possible to devise some workable arrangement based on a definite standard, though we doubt it even under such conditions. But as each country has its own standard of what is necessary, the task is really hopeless. An example was seen at Dawes Committee Conference when they were discussing the comparative national ability to bear the burdens. 71 was decided that the "minimum ol .•übsistenco" for each population shoulc be fixed, as it was only the balance ol income that could be usod for speciai purposes. Great differences were appal" ent. America and England were amuzec at the figure suggested by France ant Italy, and it was found that if America's "minimum of subsistance"' was adopter it would blot out the Whole Italiar national income. It is this variation in what is deem cd a fair standard of living, that makes it so dangerous to attempt to set up r stated standard in one country alone a; the basis of wages and conditions with t>ut endangering its economic and indus trial existence. HOW IT AFFECTS THE EMPIRE Considering that England is dependent | for her daily bread upon her ability to; sell her goods abroad in competition

with these produced in foreign countries, the standard of living, hours of work, wages anil taxation to provide social services in England should be studied and it is particularly interesting to us in New Zealand for we rely upon the old country's ability to purchase our primary products. It would take too long to examine these in full, but we give a few figures regarding coal from the Report of the International Labour Office. When these figures were compiled some districts in'England still worked the 8 hours day in tiie mines others retained the 7.'.- hour day, but the recent Socialist legislation making the 11 hours universal will make the British working week still shorter than those of her co'm- [ pet itors. ICO7u?ARINC IIOUIIS, WAGES AND TAXES j Germany works from 43 to 49A hours per week, Belguim 431 hours, France jw.42, Britain averages 47.28, Poland i from 48.12 to 49 hours. Wages rales show a greater difference las follows, (Base Great Britain 100) ; Britain 100, Germany 79, Saxony 71, "aar 63, Upper Silesia 60, France 54, I Belguim 47," Poland 33. These figures show that one of the main industries on which England depends, for her prosperity is severely handicapped in competition on the * orld's I markets. I When we also take into> consideration I the. other burdens which induf-try has to I carry Great Britain's handicap is more I apparent. In taxation she b.S to carry ■ Zlo 2s 8d per head as against Fiance £3 5s lOd, ltalv £3 8s 9d .and U.S.A. £5 Is lid. A large part of this burden is represented by "the so-called Social Services which in 1928 compared as follows: Great Britain IGO, Germany 48, France 17. Belguim 7, Italy 4 and as the present Socialist Government have added several millions more the extra comparative burden on British industry is now more marked. In New Zealand we are p'.st /•ow su : fering from the tact that ovr buTfl*;-.' England cannot now pay enougli for our primary produce to cover its cost of prodiicwon. "Thus tho Old Country's difficulties 'present an object lesson to us, ' for our increased cost of production ~ts largely due to heavy taxation to meet i excessive public expenditure and to the j fact that we have tried to divorce wages from production and to base them on a '"standard of living."